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WilliamW4 (North Carolina)
Posts: 2
Posted:
A previous unit owner continues to act as manager of our HOA. This person does not have a real estate license. I am doubtful if this relationship is legal in North Carolina. The fiduciary and other duties of a non board member managing the HOA seems to be beyond normal business. Many board members are satisfied to continue this arrangement, primarily because he serves at no cost to the association.
TimB4 (Tennessee)
Posts: 21,046
Posted:
William,

This will depend on the duties of the manager.

If the manager is renting, leasing or listing units then a Realtors license would be required (as this is governed under NC Real Estate License Law.

If they are collecting assessments, overseeing contracts, identifying infractions, etc., then I could find nothing in North Carolina Planned Community Act.
or the North Carolina Condominium Act.
or the North Carolina Statutes that require licensing of community association managers.

JohnC46 (South Carolina)
Posts: 14,265
Posted:
William

Do you have a problem with this person and want them out?

Thans
WilliamW4 (North Carolina)
Posts: 2
Posted:
The project is small,six units, and has been self managed by HOA board members all of these years until the owner/President sold his unit 3-5 years ago. Since that time he has continued in that position with no pay. He has done a good job in most areas. The building and grounds are in relatively good condition. The major shortcoming is the collection of monthly dues. He has permitted some individuals to fall behind in their remittances with little or no consequences. This has pressured the HOA and naturally hurt the cash flow. The second failure has been the irregular and absence of HOA meetings at all levels. The impact of this is a greater dependency on the “manager/President” plus weakens the HOA as a whole while burdens the individual.

There has been discussions about hiring a professional firm to take over the obligation. Several of us have rotated thru this position over the years and do not want to take over now. The tendency has been to minimize the expense but I feel now is the time to hire someone.

I am just not sure if the present operation is legal. Each of us, the board members, have a fiduciary duty to make legal and proper decisions. I fear a backlash from within IF we do not do this correctly.
TimB4 (Tennessee)
Posts: 21,046
Posted:
Quote:
Posted By WilliamW4 on 01/28/2012 7:09 AM
Several of us have rotated thru this position over the years and do not want to take over now.

That is a problem with a very small HOA, members who feel that they have fulfilled their obligation by volunteering in the past must continue to volunteer as there is no one to take over.

I'm not sure what "several equals". However, based on my experience with the term, several could equal 4 or more. With only 6 units in the development having several not wanting to volunteer results in the Association being ran by those who are willing to volunteer.

Even if you were to hire a manager or management company, you still have to have a board of directors. Therefore, it will not allow the members to not volunteer. If there are members who are delinquent in their payments having a manager might not have them pay any faster. Therefore, the cost of management will still be on those few who keep their accounts current.

What is it specifically you are hoping to gain by hiring a property manger?

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